The UK government recently announced that they would be pressing ahead with formal regulation for agencies that evaluate the ESG performance of companies, expected to be unveiled as early as January 2024.
The overhaul of ESG policy is primarily concerned with the public market, where a lack of regulation and government oversight of ESG ratings providers leaves important principles like transparency and consistency unenforced. It signals an extremely positive step towards effective regulation, but the parameters for private market investment, through private equity (PE) and venture capital (VC) funds, are at risk of being left undefined and their significant investment opportunities untapped. The opportunity on offer from the private sector There is a common misconception that ESG in...
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